About The Loonie Adventures of a Forex Noob

“Huck loves her bucks!” I always say. The problem, of course, is how to make those bucks!! In this blog, I'll be posting my adventures as I traverse the forex world, while trying to catch some pips along the way. To do this, I will make use of classical charting methods as well as develop my own mechanical system. Not only will I talk about FX, but I'll also share how my day went along with any currency trade updates. Hopefully, by the end of this tale, I'll be able to achieve my goal of becoming a consistently profitable foreign exchange trader.

HLHB Weekly Update – February 24, 2012

Ayayay! My Trend Catcher System 3.0 raked in a handful of fakeouts as EUR/USD was stuck in a consolidation for the most part of the week.

Unlike last week, EUR/USD consolidated for the first three days of this week. Consequently, my system raked in one fake out after another! But before I get to the bad part, I’m happy to report that the last signal which materialized last week (Long at 1.3042) closed at 1.3234 with a 192-pip win!

Now without further ado, here’s how my system did this week:

Crossover at 1.3234 not valid. RSI was not below 50.

Bought at 1.3259, closed on new crossover at 1.3231: -28 pips.

Sold at 1.3231, closed on new crossover at 1.3255: -24 pips

Bought at 1.3255, closed on new crossover at 1.3234: -21 pips.

Sold at 1.3234, closed on new crossover at 1.3249: -15 pips

Bought at 1.3249, closed on new crossover at 1.3234: -15 pips

Sold at 1.3234, closed on new crossover at 1.3240: -6 pips

Bought at 1.3240, closed on new crossover at 1.3230: -10 pips

Sold at 1.3230, closed on new crossover at 1.3238: -8 pips

Crossover at 1.3238 not valid. RSI was not above 50.

Sold at 1.3227, closed on new crossover at 1.3242: -15 pips.

Bought at 1.3242, trade still open…

Total gain/loss for the week: -142 pips

It was a really bad week for me. My USD/CHF trade ended up with a loss and the HLHB Trend-Catcher did not produce a profit. Nevertheless, I have to keep my chin up and move on. Losses are part of trading and not every week will end up positive.

This goes not only for me, but for other traders as well. It’s okay to feel down, but what’s important is for you to look past those losses and focus on the process.

I prefer not to use it in RANGING period. It is obvious that moving average crossover system gives FAKE signal in ranging period.

It would be better to find out the RANGING period ourselves manually and wait for the range breakout. After the breakout we may start following our system.

“No Trade is a part of Trading”……

Cldchc

did you never try to change your ema 10 close to ema 6 open? It seems to be more accurate crossover.

huck

Not yet, as the system is still profitable with its current settings. If you have backtested it, perhaps you can share the result with me and the rest of the BabyPips.com community? I’m sure they’ll appreciate it!

Szgabor

The original amazing crossover system uses HL/2 for RSI setup. Why do you use close price for RSI? The close price is better than HL/2?

huck

I think both are acceptable. Is the HL/2 better? If it is, I may revert to it… Have you tested it?

Szgabor

I use only on demo account, but it give different entry points than RSI with close. I don’t know what is better.

SexyForex

Are you waiting for the retest during the breakout? If not, then that’s why you always end up with a fake out.

huck

I normally do but at that occasion I was feeling confident on my trade and wanted a larger R:R ratio. Sadly, it did not work out.

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